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49 Cards in this Set
- Front
- Back
Examples of offenses that cgl defines as personal and advertising injury |
* false arrest, or imprisonment * malicious prosecution * wrongful eviction * oral or written publication of slander material * oral or written publication that violates person's privacy * using another's advertising idea * infringement on copyright |
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Cgl exclusions that apply of insured knowingly is competitors advertisement |
The knowing violation of rights of another exclusion |
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Cgl contractual liability exclusion |
Applies to injury for which the insured has assumed liability in a contract or an agreement except for liability that insured would have in absence of contact |
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Wrong description of prices |
When insured advertisers wrong price and have buyer trying to buy for wrong price. Exclusion |
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Difference between cgl coverage A and B pollution exclusion |
Primary difference is coverage B has no exceptions |
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What does insurer agree to pay under CGL coverage C insuring agreement |
Medical expenses |
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Categories of persons excluded from cgl medical payments |
* insured * anyone hired to work for insured * person normally occupies the premises * person entitled to workers comp * person injured while taking part in game or sports |
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Why medical payments coverage not considered liability |
Coverage provided regardless of insured is legally liable |
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Costs covered by supplementary payments section of cgl |
* expenses incurred by insurer such as legal fees * up to $250 bail bond * cost of bond to release attachment * reasonable expenses incurred by the insured at the insurer's request *court costs *prejudgement interest * interest of full amount of any judgement that accrues after entry of judgment and before insurer has paid |
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Provision contained in supplementary payments section on insurer's duty to defend |
Insurer agrees to defend but only if specific conditions are met. |
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Persons who receive insured status under cgl bc they have family relationship to named insured |
Spouse |
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What extent are named insureds executive officers directors insured under cgl |
Directors officers are insured only with respect to their duties as officers and directors |
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Are members of a limited liability company insureds |
Yes but only with respect to the conduct of insured business |
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Is insureds real estate Manager an insured |
Any person or organization while acting as a real estate Manager for the insured is an insured |
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Who is insured after death of the insured |
Any person or organization who had proper temporary custody of insured property but only with respect to liability arising out of maintenance or use of property until the named insureds legal representative is appointed |
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Aggregate limit |
Maximum amount an insurer will pay for all covered losses during the coverage policy period |
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Excess liability insurance |
Insurance coverage for losses that exceed the limits of underlying insurance coverage |
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Umbrella liability policy |
Liability policy that provides excess coverage above underlying policies and may also provide coverage not available in the underlying policies subject to a self insured retention |
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Personal and advertising injury limit |
Most insurer will pay under coverage B for the sum of all personal and advertising injury to one person or organization |
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Aggregate limits that may apply to cgl |
General and products completed operations |
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Sums paid by insurer reduce general aggregate limit |
Damages paid under coverage a, b, and c reduce aggregate limit (except payment arising out of products completed operations) |
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Sums payable by insurer reduce products completed operations aggregate limit |
Reduced by any damage the insurer pays for bi or pd arising out of products completed operations |
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Types of business subject to iso commercial lines manual (clm) "products completed operations incl" (p/Co incl) provision |
Types of businesses have only incidental products or completed operations liability exposure. Example is salons, financial firms, and nursing home |
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Types of limits in cgl pol for a business classified as "products completed incl" |
Often does not show a pco aggregate limit |
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Long tail claim |
Claim that characterized by an extended delay between the claims triggering event and the reporting of the event to the insurer |
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Occurrence coverage form |
Covers injury or damage during policy period regardless of when claim is made |
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Claims made coverage form |
Covers only Claims first made against the insured during the policy period |
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Reasons insurers use claim made liability coverage forms |
To address issues arising from long tail Claims that are made many years after the occurrence |
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Exposure for which insurers typically use claim made liability coverage form |
Use for businesses that are known to pose long tail claim problems. Usually include medical malpractice, directors and officers, and pollution |
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2 basic requirements that must be met for claim to be made under iso Claims made |
1. Claim must be made against the insured during policy period 2. Covered event must not have occurred before policy retroactive date or after ends of period |
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Different options that may be exercised in regards to retroactive days under iso Claims made policy |
Policy may contain no retroactive date, a retroactive date that is the same as policy inception date or retroactive date that precedes the policy inception date |
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compare ISO claims made policy with no retroactive date to one that has a retroactive date |
if policy has no retroactive date, it will cover claims first made during the policy period regardless of when damage occurred. if policy has retroactive date, will cover claims first made during the policy period only if damage occurred on or after retroactive date |
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extended reporting period in iso claims made liability forms |
am additional period (aka "tail") following the expiration of a claims made policy. expired policy covers claim first made against any insd during this additional period. |
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3 scenarios in which ISO claims made form make their extended periods available to the named insured |
1. insurer renews or replaces current coverage with claims made coverage that has a retroactive date later than that applying to the current cov. 2. insurer renews current coverage with coverage that does not appl on claims made basis 3. coverage form is either canceled or nonrenewed |
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Employee Benefits Liability endorsment |
provides coverage for damages resulting from negligent acts, errors, or omissions in administering the named insured's benefits program |
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Contrast a certificate of insurance with an endorsment |
certificate of insurance is a brief description of insurace coverage prepared by insurer. does not amend, extend or alter the coverage afforded by the policy. endorsment modifies the coverage on policy |
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Employment Related Practices Exclusion endorsement |
eliminates coverage for bodily injury or personal and advertising injury to a person arising out of any employment related practices |
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Amendement of Limits of Insurance |
replaces the limits shown in policy dec
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Designated Construction Projects General Aggregate Limit |
provides a seperate general aggregate limit for each consturction project designated in the endorsment schedule |
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designated location general aggregate limit |
provides a seperate general aggregate limit for each location designated in the endorsment schedule |
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dram shop act |
statute holding establishment that serve alcoholic beverages, responsible for harm that results from serving patrons alcohol in violation of the statute |
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Electonic Data Liability Endorsment (CG 04 37) |
can be added to the CGL to provide coverage for electronic data losses that result from physical injury to tangible property |
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Electronic Data LIability (EDL) - (CG 00 65) |
provides broader coverage than the endosement for loss of electronic data to include losses resulting from an "electronic data incident" defined as "an addident which reslts in loss of electronica data |
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Constuction Project Management Protective Liability endorsment (CG 31 15) |
broadens the insuring agreement of the OCP to include not only operations performed by contractor but also operations performed for the contractor in connection with the designation construction project. |
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Pupose of Railroad protective liability coverage form |
typically requires any contractor working on the railroad owner's property to provide insurance protecting the railroad owner against liability arising out of work perfomed by the contractor. coverage is for fole benefit of railroad owner |
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2 coverage agreements , cov A and B, in the Railroad Protecive Liability (RPL) Coverage form (CG 00 35) |
cov A applies to bodily inury and property damage. cov B iapplies to physical damage to property owned by or leased to the railroad |
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exception to the exclusion for workers comp and similar laws in the RPL coverage form |
RPL exclusion for workers comp does not apply to any obliations of the insd under the Federal Employer's Liablity Act (FELA). FELA permits employees of inerstate railroads to sue their employers for occumpational injuries resulting from employer's negligence. |
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Purpose of liquor liability coverage form |
CGL coverage form excludes liquor liability if the insured is in business of manufacturing, distributing, selling, etc. alcoholic beverages. |
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Liquor Liability Coverage Form provisions for coverage for liability arising out of the use of auto |
coverage form does not exclude liability arising out of use of an auto. form covers the liquor liability of the insured in the intoxicatated person was operating auto at the time of the injury. however, the exclusion for other insurance eliminates cov for any injury |